Business credit cards are available from a wide variety of sources - and with a wide range of terms and conditions. Some are secured on assets of one kind or another and some are available on an unsecured basis. As with all forms of finance, you need to know and understand the exact conditions under which the credit is being made available. One thing to look out for is early repayment penalties. Even if you do have the means to repay the credit early it could cost you extra in terms of a fee or penalty interest.

Secured business credit cards are credit cards that are backed up by a piece of collateral or multiple pieces of collateral, such as the business itself, or an asset or many assets owned by the business or proprietor. This means that if the cardholder defaults on the credit card, action can be taken by the credit card company wherein the asset or assets are seized. This means the business or proprietor can lose something (or everything) that is valuable to him or her. Therefore, it is wise to make sure you can pay your credit card debts before applying for a secured business credit card.

The positive side of a business credit card is low rates. The rates on these cards are low for two reasons. Number one, the card is for a business. Number two, the credit card company profits on the seizing of assets of those who do not or cannot pay off a credit card bill.